1. History and Geography: The Foundations of Culture
International Marketing
15th edition
Chapter 3
History and Geography:
The Foundations of Culture
Philip R. Cateora, Mary C. Gilly, and John L. Graham

2. Opening Side
Introduction
To understand a society’s actions and its points of view, you need to appreciate:
The influence of historical events
The geographical uniqueness to which a culture has had to adapt
Culture can be defined as society's accepted basis for responding to external and internal events
To interpret a culture’s behavior and attitudes, a marketer must have some idea of a country’s history and geography
Roy Philip

3. History Perspective in Global Business
History helps define a nation’s mission
How it perceives its neighbors
How it perceives itself
Its place in the world
Insights into history are important for understanding current attitudes
It is necessary to study culture as it is now as well as to understand culture as it was
A country’s history
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4. Geography and Global Markets
Geography – an element of the uncontrollable environment that confronts every marketer
Affects a society’s culture and economy
Physical makeup limits a nation’s ability to supply its people’s needs
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5. Climate and Topography
Altitude, humidity, and temperature extremes
South America
British resistance of the English Channel
Trade through the Alps
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7. Geography, Nature and Economic Growth
As countries prosper, natural barriers are overcome
Environmental issues
Disruption of ecosystems
Relocation of people
Inadequate hazardous waste management
Industrial pollution
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8. Social Responsibility and Environmental Management
Environmental protection is not an optional extra
Pollution is on the verge of getting completely out of control
China has 16 of the world’s 20 most polluted cities
Critical issue: the disposal of hazardous waste
Sustainable development
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9. Resources (1 of 2)
The availability of minerals and the ability to generate energy are the foundations of modern technology
The principal supplements to human energy
Animals
Wood
Fossil fuel
Nuclear power
Ocean tides
Geothermal power
The sun
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10. Resources (2 of 2) United States in perspective
1942 – nearly self-sufficient
1950 – major importer
– increased dependency from 36% to 66%
Mid-2000’s – predicted to be importing more than 70% of needs
The location, quality, and availability of resources will affect the pattern of world economic development and trade well into the 21st century
Roy Philip

11. Dynamics of Global Population Trends
Global population trends determine today’s demand for goods
Rural/urban population shifts
Rates of growth
Age levels
Population control
Changes in population will profoundly affect future demand
The most important deterrent to population control is cultural attitudes about the importance of large families
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12. Controlling Population Growth
Procreation is one of the most culturally sensitive uncontrollable factors
Perhaps the most important deterrent to population control is cultural attitudes about the importance of large families
Family planning and all that it entails is by far the most universal means governments use to control birthrates, but some economists believe that a decline in the fertility rate is a function of economic prosperity and will come only with economic development
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13. Rural/Urban Migration
Result of a desire for greater access to:
Sources of education
Health care
Improved job opportunities
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14. Population Decline and Aging
Population growth in many countries has dropped below the rate necessary to maintain present levels
A nation needs a fertility rate of about 2.1 children per woman
Not one major country has sufficient internal population growth to maintain itself
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15. Summary
A prospective international marketer should be reasonably familiar with the world, its climate, and topographic differences
Geographic hurdles must be recognized as having a direct effect on marketing and the related activities of communications and distribution
Roy Philip